How sticky are nominal wages?

posted by
November 17, 2011
EconLog
by Arnold Kling  
Posted in Commentary

"Since the financial crisis, productivity growth has been pretty good, and it has exceeded real wage growth, which has been zero. Of course, you can always rescue the AD story by saying that, well, wage growth should have been even less, because of weak AD. Just as you can always rescue the stimulus story by saying that, well, job growth would have been even stronger if we had not had the stimulus. I cannot argue against these sorts of hypotheticals." (11/15/11)

http://econlog.econlib.org/archives/2011/11/how_sticky_are.html  

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